11 NCAC 04 .0423 ETHICAL STANDARDS

(a) Every agent, limited representative, broker, adjuster, appraiser, or other insurer's representative shall, when in
contact with the public:
(1) promptly identify himself and his occupation;
(2) carry the license issued to him by the Department of Insurance while performing his duties and
display it upon request to any claimant, any repairer at which he is investigating a claim or loss, any
department representative, or any other person with whom he has contact while performing his
duties;
(3) conduct himself in such a manner as to inspire confidence by fair and honorable dealings.
(b) No claims management person, agent, agency employee, limited representative, broker, adjuster, appraiser, or
other insurer's representative shall:
(1) accept any gratuity or other form of remuneration from any provider of services for recommending
that provider to claimants;
(2) purchase salvage from a claimant;
(3) intimidate or discourage any claimant from seeking legal advice and counsel by withdrawing and
reducing a settlement offer previously tendered to the claimant or threatening to do so if the claimant
seeks legal advice or counsel. No adjuster shall advise a claimant of the advisability of seeking legal
counsel nor recommend any legal counsel to any claimant under any circumstance;
(4) cause any undue delay in the settlement of a property damage claim on account of the claimant's
choice of a motor vehicle repair service.
(c) No claims management person, agent, agency employee, limited representative, broker, or other insurer's
representative shall recommend the utilization of a particular motor vehicle repair service without clearly informing t h e
claimant that he is under no obligation to use the recommended repair service and that he may use the service of his
choice.

History Note: Authority G.S. 58-2-40; 58-33-10; 58-33-25; 58-33-30; 58-35-25; 58-63-65;
58-65-40;
Eff. December 15, 1979;
Amended Eff. April 1, 1993; April 1, 1989; July 1, 1986.